Outright
Commercial Purchases

What is an outright

commercial purchase?

An outright commercial purchase involves acquiring the photovoltaic system by purchasing it with cash, paying a specialized company to assess the property, design a suitable solar power system based on your individual requirements and then also carry out the installation process. The purchaser is then responsible for all ongoing operating, maintenance, repair and replacement costs.

Advantages &

Disadvantages

There are several advantages and disadvantages to purchasing a photovoltaic system outright, for one most of the associated ownership costs are concentrated at the beginning of the systems service life, meaning it may take a few years before you break-even and really start to see the savings. While solar panels are typically rated for a 25 year usage period, this is based on how clean the surface is kept (affecting performance). For a commercial company this requires hiring maintenance personnel to service the system. The commercial solar PV system will also, in the future, require some equipment and parts replacements to ensure the system continues to function and support the generation of electricity. For those companies with experienced solar staff and enough capital an outright purchase can be a viable option, otherwise it is generally recommended that solar as a service may be better suited to achieve the desired results.

The advantage of an outright commercial purchase is getting the lowest long-term ownership cost possible as well as being eligible for clean energy subsidies from the Australian government. These include small-scale technology certificates (STC) or large-scale generation certificates (LGC) and the type of credit is determined by the installed capacity and annual energy output.

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